March 20, Colombo (LNW): Prime Minister Dr. Harini Amarasuriya has underscored the critical need to increase the participation of women in the global and Sri Lankan economies.
Speaking at the launch of the Women’s Entrepreneurial Finance Code this week, she highlighted the stark gender disparities in economic engagement, pointing out that only 47 per cent of women worldwide, and a mere 32 per cent in Sri Lanka, are economically active.
In contrast, the figures for men stand at 72 per cent globally and 71 per cent locally.
Dr. Amarasuriya stressed that addressing the systemic barriers hindering women’s economic participation is essential. “Women entrepreneurs face significant obstacles such as limited access to finance, markets, skilled labour, and technology. These barriers stifle their potential and prevent them from fully contributing to the economy,” she stated, calling for comprehensive action to break down these barriers and promote gender equality in the workplace.
She further acknowledged that women in Sri Lanka encounter unique challenges, including unsafe public transport, hostile workplace environments, and societal expectations that place a disproportionate burden of domestic responsibilities on them.
These factors exacerbate the difficulties they face in participating in the workforce and achieving entrepreneurial success.
Dr. Amarasuriya also referenced the International Finance Corporation’s MSME Finance Gap Report, which estimates a global finance gap of US$5.2 trillion for formal micro, small, and medium enterprises (MSMEs), with an additional US$2.9 trillion gap in the informal sector.
In Sri Lanka, the gap for MSMEs is approximately US$17 billion, representing around 21 per cent of the country’s GDP. A disproportionate number of women-led MSMEs are particularly affected by this financing shortfall, further limiting their ability to grow and succeed.
The Prime Minister argued that closing this financing gap for women entrepreneurs could unlock between US$5 trillion and US$6 trillion in additional global economic value.
“If we can provide women with the necessary resources, we will see not only a boost in their businesses but also in the global economy at large,” she added.
Dr. Amarasuriya also highlighted the importance of the Women Entrepreneurs’ Finance Goal (We-Fi), a global initiative aimed at enhancing access to finance for women-led businesses.
This initiative focuses on leadership, data-driven actions, and policy reform to bridge the financial gaps. Sri Lanka, she revealed, is amongst the first 24 countries to pilot this initiative, with significant support from the Asian Development Bank (ADB).
The ADB’s involvement has helped to create a national definition for women-led businesses, which will be instrumental in gathering more accurate data and informing better policy decisions.
In conclusion, Dr. Amarasuriya commended the ADB’s comprehensive support, which has already led to improved data collection and better reporting practices, ultimately contributing to more informed policymaking.
She reiterated the government’s commitment to fostering a national coalition that would empower women-led micro, small, and medium enterprises, reinforcing the broader goal of strengthening women’s economic rights and opportunities in Sri Lanka.
